Old Spag’s to be razed

Building 19 plans to close the store on Route 9 that formerly was Spag’s, demolish the quirky building and replace it with new stores, apartments and offices.

» Share your memories of Spag's on Gone But Not Forgotten

By Kevin Keenan TELEGRAM & GAZETTE STAFF

Building 19 plans to close the store on Route 9 that formerly was Spag’s, demolish the quirky building and replace it with new stores, apartments and offices.

The town of Shrewsbury invited developers to submit applications for affordable housing projects and received interest from three groups, including one from Hingham-based Building 19, which bought Spag’s in 2003. The town will choose from three proposals, but either way, Building 19 sees little value in keeping its store open there, said Jerry Ellis, the company’s founder and chief executive officer.

“It obviously looks in need of change, and it’s probably time that it did change,” Mr. Ellis said. “It was our hope when we originally bought Spag’s that we could blend the Spag’s culture with Building 19 culture. We gave it a long test. We couldn’t make it work, and we are exploring alternatives.”

Mr. Ellis said the attempt to blend the two cultures probably alienated customers from both camps. The store never really became a Building 19 and never shed its Spag’s heritage. The store’s layout, with its annexes and wings, was quirky under Spag’s, but now it’s just inefficient, Mr. Ellis said.

“It’s pretty obvious something has to change. We hope it serves the area well, but we know we have to do something different, and that is the bottom line,” Mr. Ellis said.

Building 19 formed an alliance with a private real estate developer and a New York real estate investment trust to transform its property and surrounding parcels into something new. The group includes I.J. Barkan Inc., a Waitsfield, Vt., real estate developer; Kimco Realty Corp, a real estate investment trust based in New Hyde Park, N.Y.; and SREV LLC, a real estate holding company controlled by Mr. Ellis’ family, the owners of Building 19.

Concept plans, filed with the town, call for up to 68 townhouses, 360 apartments, 120,000 square feet of retail space and 40,000 square feet of office space. The former Spag’s and all of its annexes would go. The proposal also calls for integration and acquisition of several abutting parcels along Route 9, Lakeview, Olympia, Muzzy and Harrington avenues. The Building 19 property is about 4.7 acres, while the total size of the project would be 9.7 acres.

Building 19 bought the Spag’s store and property in December 2003 for $7 million, according to the town assessor’s records. The same property is currently assessed at $5.2 million.

“My family has a major interest in it, but we would have pros come in and do the development, while the family entity would still remain as an owner,” Mr. Ellis said.

Mr. Ellis said the Building 19 store would close, and new stores would replace it. Continuing to operate a store in the existing building with its awkward layout would be difficult, Mr. Ellis said.

“It just didn’t work; not everything does,” Mr. Ellis said.

Selectmen will choose one project from three applicants for an affordable housing project.

On Monday, selectmen will hear from two of the applicants, AvalonBay Communities, with a regional office in Boston, which is proposing 444 apartments off CenTech Boulevard, and the partnership representing the Building 19 property.

The third plan, from Fairfield Residential of Framingham, is scheduled for a July 16 selectmen’s meeting.

Fairfield has proposed converting the former Spag’s warehouse in the area of Route 9, Maple Avenue and Oak Street into 335 apartments, with 164,000 square feet of retail and commercial space.

Reporter Kevin Keenan can be reached at kkeenan@telegram.com.

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